DAE Aviation loan rated B-

Standard & Poor’s Ratings Services has assigned a B- issue rating to DAE Aviation Holdings proposed $520 million secured term loan due 2018. The rating agency has also assigned a ‘3’ recovery rating to the loan, indicating that it expect lenders to receive a meaningful (50%-70%) recovery in the event of payment default. S&P has also affirmed its ‘CCC’ issue rating and ‘6’ recovery rating on the company’s unsecured notes. The company also plans to enter into a new $150 million asset-based loan (ABL) revolving credit facility due 2017 (not rated), that will replace the existing $100 million revolver ($65